Marzotto Family Holdings Hugo Boss Shares

Italy textile family Marzotto family has recently increased its holdings.

Hugo Boss AG (BOSSN.DE) Hugo Bosse shares the confidence of the new chief executive, Mark Langer, in promoting the business revival plan.

However, the stock price of Hugo Boss AG BOSSN.DE (BOSSN.DE) was not supported, and the stock market expanded to 1% after opening 0.5% on Tuesday.

Hugo Boss AG Hugo Bosch disclosed on Monday that Marzotto Zignago's Holding SpA company, the Marzotto entity, owns 10.13% of the group's shares as of June 3rd.

In February 2015, Zignago Holding SpA purchased the Hugo Boss Hugo, Hugo Bosch 7.1% stake in the Hugo Boss AG, Hugo Bosse, the former controlling shareholder of the British private equity fund Permira Holdings Limited, and bought the 7.1% shareholder since 2007.

In 1991, the Marzotto family bought a 77.5% stake in Hugo Boss AG, Hugo BOS for $165 million. In 2005, it split the latter and the fashion brands such as Valentino Valentino acquired in 2002 to establish Valentino Fashion Group SpA.

Permira Holdings Limited acquired Valentino Fashion Group SpA in 2007, thus gaining the controlling interest of Hugo Boss AG Hugo Bosch, and Valentino Valentino Valentino was sold to Qatar sovereign investment fund in 2012.

The Gaetano Marzotto and Luca Marzotto of the Marzotto family have entered Hugo Boss AG in 2010.

Board of directors.

Bryan Garnier & Co. analyst Cedric Rossi pointed out that the Marzotto family is now holding Hugo Boss AG, and Hugo Bosse shows that they fully support the group's management Revival Strategy, and also believes that the current stock price is a better entry point.

Hugo Boss AG (BOSSN.DE) 13 reported a 53.25 euro on Monday, down 0.69% on a day.

The decline in demand for luxury goods, especially men's high-end clothing, caused by the cooling of the Chinese economy and the global economic turmoil, is particularly serious for Hugo Boss AG Hugo, who has seen a sharp decline in sales in China and the United States since the three quarter of last year, and has issued two profit warning, replacing chief executive and some top management positions.

Hugo Boss AG BOSSN.DE (BOSSN.DE) has plunged 48.7% from its 52 week high of 113.9 euros in July last year, and has fallen 30.5% since 2016.

Hugo Boss AG Hugo, the first quarter results released earlier this month, remains weak.

Data showed that the two major markets in the US and China, which had the biggest headache for the group, were doing evil. The fixed exchange rate declined by 16% and 11% respectively, while the same store sales also recorded double-digit declines. European income also decreased by 1.8% due to terrorist attacks, which led to a reduction in passenger consumption.

The group's overall sales in the first quarter amounted to 642 million 600 thousand euros, down 3.7% from 667 million 500 thousand euros in the same period last year, less than the 649 million euros expected by the market.

Net profit was cut from 75 million 600 thousand euros in the same period last year to 38 million 500 thousand euros, far behind the market forecast of 45 million 800 thousand euros, and the 49% decline also hit at least six years.

The core profit of EBITDA fell sharply from 28.9% to 93 million 500 thousand euros, which also failed to meet market expectations.

Mark Langer was promoted to CEO from CFO to CEO in mid May to replace Claus-Dietrich Lahrs, which went down in February. In the quarterly report, he pointed out that the short-term focus of the group will be in stabilizing US business.

It will also re focus on the core men's clothing business. Increasing cost efficiency and free cash flow is also a top priority. Measures will include saving the cost of about 50 million euros by renewing negotiations to reduce rent and closing stores, and reduce the investment in this fiscal year from 220 million euros last year to 1.6-1.8 billion euros.

In addition, the group has cut the price of China by 20% in the spring stock market to narrow the gap with the European price gap and push up the demand. The group disclosed that the move has been effective, while sales in mainland China have increased by 10%, but Hong Kong and Macao are still particularly weak.

Hugo BOS expects sales and profits to improve in the second half of the year, thus maintaining the annual fixed exchange rate sales with low single digit growth and operating profit with a 11%-13% decline.